Salient to Investors: Only 3 emerging-market stock pickers avoided losing money in half1 by making prescient currency bets and buying companies insulated from economic swings and government interference. They recommend Philippine retailers, Chinese Internet companies and Indian drugmakers. Lewis Kaufman Thornburg Developing World Fund said there are many going wrong. Kaufman is overweight
READ MORE... →Salient to Investors: 10-year Treasuries yield 2.61 percent versus the S&P 500 aggregate earnings yield of 6.4 percent – more than double the average spread of 1.9 points since 2000. Investors are avoiding longer-term Treasuries, concerned that returns will be depressed for years, and money managers foresee the end of a rally that
READ MORE... →Salient to Investors: 15 analysts are bearish for gold prices next week, 6 are bullish and 5 are neutral – the largest proportion of bears since Jan 2010. Frederique Dubrion at Blue Star Advisors said the Fed’s comments are the last signal for the soft hands that the bull market in gold
READ MORE... →Salient to Investors: Cap Gemini and Royal Bank of Canada said in their millionaire report for 2012: North America reclaimed the most millionaires top spot. 3.73 million North Americans had at least $1 million in investable assets versus 3.68 million in Asia-Pacific. The combined wealth of the world’s millionaires rose 10 percent to
READ MORE... →Salient to Investors: Bill Gross at Pimco cut his local-debt allocation in the Total Return Fund by 1 percent to 4 percent in May, the lowest since July, and reduced Treasuries to 37 percent of the fund’s assets in May, but says the Fed will not raise interest rates for years, making
READ MORE... →Salient to Investors: Tomoya Masanao at Pimco said: Investors should be wary of high-yield borrowers as slowing growth in Asia threatens profitability. China will average 6 percent to 7.5 percent annual growth during the next 5 years versus 9 percent annual for the past 5. Companies in Asia outside Japan almost tripled junk bond sales
READ MORE... →Salient to Investors: Overseas investors sold the most Indonesian shares since March 2011 as rising US Treasury yields lure capital from emerging markets. Read the full article at http://www.bloomberg.com/news/2013-06-12/indonesian-stocks-fall-as-investors-sell-most-shares-since-2011.html Click here to receive free and immediate email alerts of the latest forecasts.
READ MORE... →Salient to Investors: China approved 2 domestic ETPs backed by gold as global holdings of the precious metal in ETPs dropped to a 2-year low. Zhang Bingnan at the China Gold Association said Gold ETFs should boost gold demand as they make Chinese investments in the bullion much easier, and the recent
READ MORE... →Salient to Investors: S&P said the U.S. has a less than 1-in-3 likelihood of a downgrade of its AA+ credit rating in the “near term”, and sees tentative improvements including the deal to avoid the fiscal cliff. Demand for Treasuries at auction has slackened amid signs of improvement with the
READ MORE... →Salient to Investors: Franklin Templeton Asset Mgmt (India) and Nomura Asset Mgmt predict rupee bonds will extend the longest run of gains in more than a decade as inflation below 5 percent adds room for interest-rate cuts. Nomura says easing price pressures will allow India to add to the most aggressive
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